The 2008 global economic crisis galvanized the debate on neo-developmentalism as the pendulum of economic thinking began to swing away from neoliberalism. The current shift in the modalities of market governance mainly deals with the ways through which industrial policies can be crafted in a more open-economy setting. Accordingly, the post-crisis literature turns a keen eye on the state's developmental role in the research and development (R&D) sector in an age of 'bit-driven' global political economy. On that note, the nature, properties, and limits of state policies of emerging powers in this particular realm are becoming increasingly central but remain an understudied theme. This article discusses the R&D policies of Turkey from a state capacity perspective and questions the rationale of those policies by linking the state's transformative capacity to the discussions on distributive pressures. Drawing on twenty-one in-depth semistructured interviews, this article assesses Turkey's R&D policies.

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A vast literature has accumulated on the developmental state since its introduction to scholarship in the 1980s. Despite many criticisms, developmental state is still the most viable alternative to the orthodoxy in the eyes of many. This article analytically investigates the sources of pessimism and optimism in the building of 21st century developmental states. The study notes that although there are sound reasons to be pessimistic regarding the emergence of successful cases in the new millennium, there are also reasonable grounds to be optimistic. A complex dynamic within and between domestic and international spheres determines the outcome, but there is no reason to disregard prematurely or embrace indisputably the developmental state construct.

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